The battle for Layer 1 (L1) supremacy in the cryptocurrency space has been won by Ethereum, as it offers something entirely different from 'cheaper and faster' chains like Litecoin, EOS, Solana, and APT. The focus is now shifting to the Layer 2 (L2) wars, with Arbitrum's Total Value Locked (TVL) increasing from 5 billion to 8 billion. There are discussions on the impact of paying gas fees with L2 tokens on the economics of L1 tokens, with Ethereum's L2s holding a TVL of 15 billion and Solana at 900 million. Lido's TVL has surpassed $20 billion, with over 200,000 ETH stakers and stETH increasing by 10.34% to 3.52 million. However, concerns have arisen in the Ethereum community due to the excessive proportion of Lido. There are differing opinions on the future usage of L2s and their fees, with some predicting a landscape similar to L1, where only a few winners emerge.
Leading decentralized staking solution Lido’s TVL has reached an all-time high of nearly $22 billion today https://t.co/YarRti48Ak
The more L2s for $ETH there are the less anybody cares Picture being a new crypto entrant and you have to pick between 15 L2 chains or SOL or another cheaper L1 ETH L2 landscape will be no different from L1 landscape, you’ll have 1-2 big winners and rest will crash and burn
L2s will charge fees in whatever tokens they want and yes, L2s have to pay with ETH to secure via Ethereum L1, but that's NOT the bull thesis for ETH (!!!) the bull thesis is: 1) ETH is the most censorship-resistant asset on Ethereum 2) L2s will eventually move to eliminate…
L2s will charge fees in whatever tokens they want and yes, L2s have to pay to secure via Ethereum L1, but that's NOT the bull thesis for ETH (!!!) the bull thesis is: 1) ETH is the most censorship-resistant asset on Ethereum 2) L2s will eventually move to eliminate trusted…
i think many of you have incorrectly faded Ethereum L2s and what they will eventually mean for Ethereum and for ETH because you believe how you use this tech today is how most people will use it tomorrow but imo, it mostly won't be people transacting on L1s at all
Lido TVL exceeded $20 billion for the first time since April 2022; Lido exceeded 200,000 ETH stakers for the first time in November; stETH increased by 10.34% to 3.52 million. However, the excessive proportion of Lido has also caused doubts in the Ethereum community.…
not sure who needs to hear this but Ethereum L2s have 15bn$ TVL and Solana has..check notes.. 900m$ https://t.co/ZTGZphujyg
If you can pay gas fees with the native L2 token (ex - ARB instead of ETH), then what impact does that have on the economics of the L1 token?
Arbitrum TVL has slowly & quitely been creeping up since October 5bln -> 8bln https://t.co/0ZhbZNIqxW
Ethereum won the L1 wars. Every cycle since Litecoin, we got "cheaper & faster" chains all sharing the same fate (EOS, SOL, now APT). Ethereum won because it's not a "cheaper & faster" bitcoin but something completely different. Now start the era of the L2 wars. https://t.co/LUjoZa8zoY